Will Rebate Checks Help Retailers?

A tax rebate this year that President Bush recently approved would put between $600 and $1,200 in the hands of most taxpayers. And according to this article, many retail executives seem to think that this money will potentially end up in their stores."Wal-Mart and Circuit City are putting together strategies to draw in customers for what retailers say will be a bigger payoff than Valentine's Day and Mother's Day," the article says. Mike Ullman, the chairman at J. C. Penney, says stores "would obviously compete vigorously" for shares of this money.However, other reports say that most Americans will pay bills or save these funds. And at least one blog is encouraging consumers not to spend their money at Wal-Mart and other chains.What is the most likely scenario? Will debt-heavy consumers try to use their checks to ease that weight, or are those flat-screen televisions too alluring? What are you spending your rebate on?